Tested Templates & Toolstested before it ships

● Free tool · personal finance

Rent vs buy calculator

Compare what you'd actually have after the years you stay: the home's equity after selling costs, against renting and investing the down payment and the monthly difference.

✓ TestedSame month-by-month model as the tested spreadsheet
More assumptions
After 10 years–
BuyRent
First month's cost
Cash up front$0
What you'd have
AfterBuyRent

Buy = home value minus selling costs and the loan still owed, plus investments of any months when buying was cheaper. Rent = the down payment and closing costs invested, plus the monthly difference. Income tax, moving costs and flexibility are left out. Not financial advice.

How it works

The model runs month by month for 30 years. Buying pays the mortgage, PMI until you have 20% equity, property tax, insurance, HOA and maintenance; renting pays rent and renters insurance, both rising each year. The renter invests what the buyer spent up front (down payment and closing costs), and every month whichever side costs less invests the difference. What you'd have is the home's value minus selling costs and the loan still owed (plus the buyer's investments) against the renter's investments.